Microsoft and Yahoo amend search deal
By Reuters
Apr 16, 2015 06:49 PM EDT
Regions
BARCELONA, SPAIN - MARCH 03: A logo sits outside the Microsoft pavilion during the second day of the Mobile World Congress 2015 at the Fira Gran Via complex on March 3, 2015 in Barcelona, Spain. The annual Mobile World Congress hosts some of the wold's largest communication companies, with many unveiling their latest phones and wearable gadgets. (Photo : David Ramos/Getty Images)
Microsoft Corp and Yahoo Inc amended a 2009 search partnership, giving Yahoo more control over how search results are displayed on desktops and mobile devices.
The 10-year search partnership, crafted by former Microsoft CEO Steve Ballmer and former Yahoo CEO Carol Bartz, allowed the companies to amend or terminate it after five years.
Last month, the companies extended by 30 days the deadline to renegotiate the deal.
Earlier, Microsoft controlled how Bing displayed search results on Yahoo websites accessed on PCs.
Microsoft will now own the ads delivered from its own Bing Ads platform.
Yahoo was responsible for sales for Bing search ads.
Microsoft and Yahoo plan to transition sales responsibilities starting this summer.
Originally, the deal also included a revenue-sharing agreement where Microsoft paid Yahoo a percentage of Bing ads revenue delivered from Yahoo searches. This structure would remain intact, the companies said.
Yahoo and Microsoft shares were down marginally in late-morning trading.
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